1.

0 SUMMARY OF CASE STUDY

Lok Kim Sun is the Manager in one of the Malestates (Sdn Bhd), which are a very
large rubber, oil palm and cocoa estate of 28, 500 acres; with 2500 estate /
factory workers and managers. Lok is characterized as someone domineering
whom has the fear of making mistakes. He worked with Malestates (Sdn Bhd)
from a Junior Planter to an Estate Manager over the span of 26 years. He
currently has 19 men directly reporting to him, whom possess specialization in
their own field of work.

Lok reports to Henry Davidson, the Estate Agent, ex-British Army, who is
also a member of the senior management committee from Kuala Lumpur.
Davidson is an individual who only trust his own opinions, rather belittling others,
and has an autocratic leadership. Every quarter, Davidson visits the Estate and
Lok briefs in depth on the progress of the estate operation, which thereafter,
Davidson personally report to the management committee. This requires Lok to
keep tabs on the whole Estate operation.

Lok was previously an excellent Assistant and very passionate about his
work where he made many innovations and contributions. He is very much
respected for his technical knowledge. Apart from day-to-day task, Lok is
handling other tasks such as preparing annual estimates; reporting on monthly
returns; dealing with two (2) trade unions; working closely with the local officials
and Planters Association Committee; and also a guest speaker in Universiti
Pertanian.

Lok is however, performing tasks beyond his scope where he handles own
administrative work e.g. open mails, reply letters, supervise wage pay-out to
labour force, contract labour and contract jobs; as his Office Assistant who has
worked his way up, has no formal qualifications. He works long hours and even
during weekends where he visit Estate areas on Sundays.

These working environments make Lok strained and tense; and affect his
current work performance. There were no forward planning for the Estate and any
immediate problems were delayed with no adequate attention. Lok is not easy to
meet as he insists to resolve all opinions. Lok finds it increasingly difficult to meet
all the demands upon him from the estate and head office. This report will discuss
on strategies and propose implementation plan to overcome Loks problem,
which we called as The Overworked Estate Manager.

2.0 PROBLEM STATEMENT

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This section will discuss on list of problems for this case study. We can categorize
the problem into three (3) categories namely Leadership Style, Company Forward
Plan and Organizational Structure.

2.1 Leadership Style - Micromanagement and Autocratic

Lok is observed to be as a Micromanagement Manager when he insists to

personally involve and resolve almost all estate-related issues. This
leadership style makes him unnecessary strained; and also poses his lack
of confidence and trust towards his subordinates.

Estate agent, Henry Davidson was a former major in British Army,

used to be a successful planter himself and one of the senior management
committee. Davidson is very domineering and taking no account of other
staff opinions, yet demands in depth briefing so he could provide personal
presentation to the committee. These attitude affects Lok character and
performance profoundly as he became domineering himself and cautious
with his work where he is afraid of making mistakes, therefore leading him
to know every details of the operation.

2.2 Company Forward Plan - Look Ahead Planning and Delegation of

Work

Lok do not have time for forward planning as he is too busy micromanaging
estate-related issues. As demand upon him increases in decision making, it
has accumulated a lot of outstanding work resulting him to plan in day-to-
day basis or none at all. These has cause in chaotic in management and
delay in work progress.

Loks one-man approach style had steer himself to be very tense

situation. In view of a fact, he involve in preparation of annual estimates,
problem with trade unions, and authority dealings. In addition, Lok have
committed himself working on Sunday and even insist to personally
resolving issue arise in the estate. These had shown that Lok is unable to
trust his staff hence did not delegate task that will able him to focus on his
planning and result outcome.

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2.3 Organizational Structure - Layers of Management and Competent
Workers

With various departments, 19-men directly reporting to Lok and

without layers of management, it has created a situation where staffs were
not able to make immediate decision for immediate problems. Instead,
they have to wait and hunt down Lok, the Estate Manager for the final
word, resulting in low productivity which creating a bottleneck effect in the
organization structure.

Besides, Malestates (Sdn Bhd) is observed to have a mis-matches

and incompetent workers issues, in view of a fact that Lok have to handle
administrative work himself as his Office Assistant has no formal
qualifications.

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3.0 ALTERNATIVE STRATEGY

Based on the case study and the problems identified, this section will discuss on
the alternative strategy for this case study. Each strategy is elaborated in the
following sub-section.

3.1 Organizational Restructuring

In the organizational structure, Lok has 19 men reporting directly to him

whereby; ten (10) of his Field Assistants oversee 2 to 4 conductors with up
to 250 labour force; three (3) Factory Managers; Nursery Assistant;
Agricultural Research Superintendent; Senior Security Officer; Transport
Manager; Hospital Assistant and Office Assistant.

It is viewed that the current organizational structure is flat with only

Lok as a leader in the Estate and there are no Division/ Unit where similar
job functions are grouped together. To decentralize the bottleneck effect, a
redefined organizational structure with a breakdown of Division/ Unit could
not only reduce the amount of problem faced by Lok, but at the same time,
creating seamless operation within the Estate. Each Division/ Unit will
define their own goals, objective, and system.

This will harmonize the skill sets within the Malestates business
needs. Besides, the company can meet their management objective and
achieve high productivity as well as performance. From this organizational
restructuring, the organization can look into finding the right talent to lead
the Department/ Unit.

3.2 Succession Planning

This strategy is a process whereby an organization ensures that employees

are recruited and developed to fill each key role within the company. It is
best understood as any effort designed to ensure the continued effective
performance of an organization, division, department, or work group by
providing for the development, replacement, and strategic application of
key people over time (Rothwell, 2010: 6).

Through this process, Lok will develop employees with knowledge,

skills, abilities, and prepare them for advancement or promotion into a

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 more challenging roles. Hence, it ensures that employees are constantly
developed to fill each needed role.

To Loks advantage, during his absence, his subordinate will be able

to take charge of the organization. However, beforehand Lok have do it
persistently with daily efforts to build talent with coaching, mentoring,
feedback, and helping individuals to realize their potential. Succession
planning emphasize the importance of developing internal talent to meet
current or future talent needs of the organization.

3.3 Delegation of Work

Lok overwhelms himself with decision-making where he had to resolve

issues of workers, trade unions, meeting up with officials on a day-to-day
basis. Lok need to take the lead and give delegation of power to the
subordinates in making decision, executing tasks and manages their field
of expertise.

Delegation of work is a strategy where Lok can give some authority

to subordinates in accomplishing results of a certain work or tasks vested
to Loks position or responsibilities. Based on Al-Jammah et. al. (2015),
giving delegation of authority can motivate the employees to provide
higher productivity and speed in completing tasks. On the managers level,
this can also lessen the burden of a manager, increases the employees
satisfaction and establish cooperation and trust between the manager and
subordinates. With this, the manager can reduce exertion of physical and
intellectual efforts at the same time, focuses more on Planning and Control.
On the subordinates level, this will elevate the level of confidence of the
employees, and feel motivated towards giving excellent performance in
their work. With delegation of work, it will not only improve and increases
the individuals production, performance and accountability but also the
entire organization.

3.4 Team Building and Leadership Training

Another alternative strategy to look into would be team building among the
senior management team and also Loks subordinate. These activities

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perhaps can improve on the relationship and teamwork between Davidson
and Lok.
Besides, a team building amongst Management Committee,
inclusive of Loks and team can be used as a platform for the team to
discuss on organizations goals, task prioritization, analyse their current
practices in the Estate and other company-related matters . Lok should
take the opportunity to highlight problems that being faced by the
organization, so that issue can be addressed accordingly.

Another set of teambuilding session can also be arranged for Loks

department. Lok should aim to promote a positive communication and
better cooperation between team. Lok can also cascade down company
goals that being set by Senior Management Committee; and steer the
team towards achieving those goals.

Apart from the team building session, company may also invest for a
training session to addressed issues on Management Operational
Behaviour. Leaders will not be necessary have to change their leadership
style, but being able to understand each others set of behaviour will
definitely benefit the team, which to work together in achieving common
goals.

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4.0 EVALUATION OF ALTERNATIVE STRATEGIES
Evaluation of alternative strategies and its positive and negative outcomes are
shown in Table 4.1.

Alternative Positive Outcome Negative Outcome

Strategies
Organizational 1) Organizational restructuring can ease 1) There would be financial
Restructuring Loks burden and decentralize his implication towards
position and creating management restructuring in current
system for the organization. organization.
2) With the standardization of work 2) Create gaps between Lok
input, processes and outputs in a and his bottom-level
Division/ Unit, Lok can identify a employees.
performing employee to take lead in
each sector.
3) Employees will have ownership to 3) Employees need
their division and work as a team. adjustment to changes in the
organization.
4) Lok can re-prioritize his responsibility
as a manager, instead of doing his
subordinate's task.
Succession 1) Lok will be able to coach and mentor 1) Will create hyper-
Planning his successors. competitive employees to win
at all cost. (Unhealthy
2) Providing career ladder to the competition)
employees of the Malestates Plantation.

3) Opportunity to Lok whereby Lok can 2) Unworthy person might

directly report to the Senior appoint for a key-role.
Management Committee in Kuala
Lumpur.
Delegation of 1) Lok can identify pool talent to perform 1) Employees to make their
Work the delegation of work own decisions with regards to
their tasks and be responsible
2) This will motivate employees as they of their action.
are given trust by Lok to perform work
with more flexibility.
Team Building 1) Team Building - Use as a platform for 1) Require relatively high
and Leadership the team to discuss on organizations budget allocation.
Training goals and other company-related
issues / matters.
2) Promote a positive communication 2) Team building which is not
and better cooperation between team. being strategized thoroughly
may worsen the current
scenario.
Table 4.1: Evaluation of Alternative Strategies

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5.0 BEST STRATEGY AND JUSTIFICATION

The best strategy for this case study is an integration of all the identified
alternative strategies as one; organizational restructuring, delegation of work and
succession planning, which involves a short term and long term planning for the
Estates organizational structure.

The first thing for the organization to look into would be Loks position as a
manager where there is a need to decentralize Loks position as the main
decision-maker in the organization due to the nature of the flat organizational
structure.

One of the advantages of the organizational restructuring is creating a

focused operation within the division. This enables each division to create their
own targets, goals, objective and timeline. From here, Lok can identify which
group of performing employees to have the Delegation of Work/ Authority and
whom he prefers to take charge of the division. Prior to expanding the
organizational structure, Lok need to select suitable talents to head the
division/unit.

Concurrently, Lok can also look into a method for delegation of work.
Through this strategy, it would contribute to higher productivity as employees is
motivated to achieve more in complete their task. Effective delegation benefits
Lok as the manager, subordinates and organization, he can establish trust
between him and his employees, also benefit from the development of skills from
his employees whilst allowing him to focus more on the planning and control.
Therefore, he can reduce exertion of physical and intellectual effort bringing to
ample of time for him to set the organization direction and target.

Lok can apply the Delegation Path Model suggested by Ghumro, A. I, et. al.
(2011), for immediate action in the organization by the following process flow:
a) Identifying suitable employees;
b) Filtering suitable employees based on performance and
interpersonal behaviour;
c) Classify (good or average employees);
d) Select employees based on the type of delegation of work;
e) Assign job, set objectives and timeline of the task;
f) Assess the performance of selected employees; and
g) Compensate them through career advancement by coaching/
mentoring towards succession of higher position.
Another strategy that can be executed is via Succession Planning. This
strategy provides a continuous supply of strong and skilful leader to the
organization through Loks coaching and mentoring of his subordinates. This will

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 give a sense of security to the employees as it makes them feel essential for the
growth of the company.

Besides, thoroughly succession planning will provide a platform where

SWOT analysis can be conducted. It will enable management to see what the
company needs now, and in the years to come while align to organization
strategic direction. SWOT analysis will be able to identify weaknesses and threats
and it becomes easier to deliberate in resolving issue.

There are risk during executing the succession planning, whereby unworthy
person might appointed for a key-role position, as a result, produce poor decision
and weaker organization model. Another disadvantage of succession planning is
when it is held too early, where it will create a panic and uneasy environment
among the employees or even investor. However, through SWOT analysis we may
reduce or manage the risk.

6.0 IMPLEMENTATION
The step that we choose from the case that has been given is restructuring
organization. We can see that each worker will refer to Lok if they faced with any

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 issue. However by restructuring organizational, it will increase the level of
productivity. The workers also will get an opportunity to work as a team.
Restructuring will give short term and long term effect for this organization.

ESTATE AGENT
(H Davidson)

ESTATE MANAGER
K S Lok

Field Field Field Field Field Nurse

Assistant Assistant Assistant Assistant Assistant Assistant
(A) (B) (C) (D) E, F, G, H, I, J
Cocoa Rubber Rubber Rubber Oil Palm Hospital
Division Assistant
Factory Factory Factory
Manager Manager Engineer Agriculture Research Supt.
Latex Cocoa Palm Oil
Processing Processing Mill

Office Assistant.

Senior Security
Estate Agent
Officer

Transport
Manager

Estate
Manager

Operations & Research &

Services Administratio
Processing Agriculture
Division n
Division Division

Agriculture
Factory Factory Factory
Research Nursery Transport Office
Manager Manager Manager Hospital Unit Security Unit
Superintende Assistant Unit Assistant
(Cocoa) (Palm Oil) (Latex)
nt

Field Field
Field Transport Hospital Security
Assistants (E, Assistants
Assistant (A) Manager Assistant Assistant
F, G, H, I, J) (B, C, D)

Figure 6.1: Initial Organizational Structure

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 Secretar
y

Figure 6.2: Proposed Organizational Structure

For the short term implementation, the delegation of work where the task
will become more effective and efficient. Delegation of work can be identified as
assigning responsibility and authority to someone in order to complete the task in
efficient and effective manner. As we can see from the previous organizational
chart, all workers need to report to Lok. By implementing this organizational
strategy, the functional organizational structure will appear where it involve the
grouping of the work flow and function from administration, research and
agriculture division, operation and processing division and services division.
Beside, in short term implementation, the company should hire or appoint
someone to become the Secretary for Lok. This Secretary can help Lok to answer
phones, mail correspondences, receive mails and other minor tasks.
Furthermore, delegation of work is important as it will allow task transferred to
other workers that has relevant skills and expertise and will help this company to
achieve their goals. This strategy will help workers focus only the task that
related with their division.

Based on strategy that we had chosen, the strategy can be implemented

by following several steps. Firstly, they need to hold a meeting session. In the
meeting, they should discuss the problem that they faced and way to solve the
problem. So, Lok will explain about delegation of work task. He needs to explain
clearly too each level of management about job description depends on their
level. The importance of delegation of work is to make sure that each worker
knows their responsibilities in each department. Secondly, Lok need to instruct
their subordinates about the job description for the department. Lastly, Lok can
test them by giving a heavy task and see either they able to complete the task
during the time given or they need an advice.

In long term, the delegation of work wills train the workers to work as a
team. This strategy also can make the work task more perfect, well-organized

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 and organization will become more productive. However, organizational
restructuring may have an impact in financial and require series of decision
making process. Malestates (Sdn Bhd) also should invest in human capital
development via Succession Planning. This will teach the worker to be more
professional in doing their worker and Lok also can reduce his heavy burden.
Beside this can increase the quality of worker in doing their job. Through
succession planning, Lok can give a training and guideline to assistant manager
for each section on how to make their business become more competitive in the
market.

Estate Agent

Senior Estate
Manager

Operations & Research &

Services Administratio
Processing Agriculture
Division n
Division Division

Estate Estate Estate

Estate
Manager Manager Manager
Manager
(Operations & (Research & (Administratio
(Services)
Processing) Agriculture) n)

Agriculture
Factory Factory Factory
Research Office
Manager Manager Manager Transport Unit Hospital Unit Security Unit
Superintende Assistant
(Cocoa) (Palm Oil) (Latex)
nt

Field Field Field Nursery Transport Hospital Security

Supervisor Supervisor Supervisor Assistant Manager Assistant Assistant

Field Field
Field Assistant
Assistants (E, Assistants (B,
(A)
F, G, H, I, J) C, D)

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 Figure 6.3: Long-Term Planning (Succession Plan)

In long-term implementation, these strategies will resolve all company

problems including Lok problem. Organizational restructuring that they have done
will make the company achieve the succession plan. In future, Lok also can keep
training his subordinates to become a better staff. He also can share his
experience to other about the journey before he succeeds in the company. If
there is any problem recurring again, Lok can reduce the number of workers or
hire more qualified employees.

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